The Number of Days' Sales in Receivables Is an Estimate

question 32

True/False

The number of days' sales in receivables is an estimate of the length of time the accounts receivable have been outstanding.

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Definitions:

Maturation

The process of development in which an individual matures or reaches full functionality, often used to describe the physical and psychological growth that occurs naturally with age.

Habituation

Tendency of the brain to stop attending to constant, unchanging information.

Learned Helplessness

A condition in which a person suffers from a sense of powerlessness, arising from traumatic events or persistent failure to succeed. It is thought to be one of the underlying causes of depression.

Contingency Blocking

A phenomenon in classical conditioning where a subject learns to associate a particular stimulus with an outcome, blocking the learning of an association with a new stimulus presented at the same time.